Logistics and markets: Overcoming the challenges of a difficult geography" Jose Luis Bonifaz, Fernando Gonzalez-Vigil, Roberto Urrunaga (original) (raw)

Trade Logistics and Regional Integration in Latin America and the Caribbean

SSRN Electronic Journal, 2010

is a transportation specialist at the Inter-American Development Bank. Krista Lucenti is a trade consultant at the Inter-American Development Bank. Sebastián Galarza is a Magister en Políticas Públicas (MPP) at the Universidad de Chile. This paper represents the opinions of the authors and is the product of professional research. It is not meant to represent the position or opinions of the IDB or its Members or the official position of any staff members. Any errors are the fault of the authors. The views expressed in this paper are the views of the authors and do not necessarily reflect the views or policies of ADBI, the Asian Development Bank (ADB), its Board of Directors, or the governments they represent. ADBI does not guarantee the accuracy of the data included in this paper and accepts no responsibility for any consequences of their use. Terminology used may not necessarily be consistent with ADB official terms.

Trade Logistic and Regional Integration in Latin America & the Caribbean

2009

During the past few decades, the landscape of the world economy has changed. New trade patterns reflect the globalization of the supply chain and intra-industry trade, and increasing flows between neighboring countries and trading blocs with similar factor endowments. Similarly, the approach to production, trade, and transportation has evolved incorporating freight logistics as an important value-added service in the global

Shipping cost: a rising challenge to the Region's competitive development

This issue of the FAL Bulletin examines the impact of shipping costs on the exports of five Latin American and Caribbean countries by analysing the difference between the unit value of goods at the port of origin and at the port of destination, in three of the region's main external markets. In the past few years, international trade has outpaced GDP in terms of growth. The buoyant economies of China and India and their positive influence on world trade have driven up commodity prices and stimulated export activity in the region. Also, some countries, such as Chile, Mexico and Peru, have signed free trade and association agreements, which has increased the efficiency of border procedures and improved the conditions for market access. Attention now needs to be turned to the other significant barriers to trade and ways in which they might be tackled. Shipping costs (mainly insurance and freight) are now considered to be one of the main obstacles limiting the region's export growth potential. Four factors were revealed by the analysis to significantly drive up shipping costs: (a) distance; (b) economies of scale; (c) mode of transport: and (d) product type. The results also showed that, in some cases, the shipping costs incurred in exporting a product could be twice as high as the tariff applied to that product. The costs analysed in this study consist mainly of transportation expenses. Though not the sole component, transportation expenses are certainly the most significant contributor to shipping costs and largely explain the phenomenon. Transportation is also the one area, however, that affords significant opportunities for implementing innovative and creative trade policies and for reducing the expenses currently generated by logistical shortfalls. One of the goals of this article is to draw attention to the urgent need to upgrade and streamline shipping infrastructure and procedures in Latin America and the Caribbean so as to lower export costs in the region.

Freight Logistics in Latin America and the Caribbean: An Agenda to Improve Performance

2010

The "Technical Notes" include a wide range of optimal practices, project evaluations, lessons learned, study cases, methodological notes, and other documents with technical input, that are not official Bank documents. The views expressed are those of the authors and do not necessarily represent the official position of the Inter-American Development Bank, its Executive Director or the countries represented.

Maritime sector and ports in the Caribbean: the case of CARICOM countries

The document assesses of the situation of the maritime sector in CARICOM and presents a series of new observations and issues. Challenges and barriers in the maritime sector, or problems created through inefficiencies in the maritime sector are analyzed for: maritime freight transport, cruise shipping, ports and yachting. Whilst the first three are part of the original structure of the study, the fourth is included to show the full extension of the maritime sector. To be able to understand the challenges and role of maritime transport in a regional and global context, it is essential to consider the physical geography of the CARICOM region; CARICOM is a "conglomerate" of states that have comparable historical development paths of colonial dependency. The countries are spread out throughout the Caribbean basin and do not form a continuous territory. While cooperation between this diverse group of countries has historically developed slowly, the ambitious goal to create a Ca...

The logistics as a driving force of trade between Latin America and Asia. Case study on the ports of Callao, Valparaíso, Busan and Shenzhen

Journal of business, 2022

Within the dynamics of a global economy with efficient markets in constant transformation, commercial initiatives are a fundamental component for the socioeconomic development of countries. On this basis, this study analyzes management of the port environment and its impact on regional and national development for the cases of the ports of Callao, Valparaíso, Busan and Shenzhen; In so doing, the study focuses on best practices geared towards strengthening trade relations and how these facilities drive trade, resulting in an increase in the trade flow between countries. Methodologically, this is a descriptive-documentary study with a non-experimental design. The main results of logistics best practices are presented: they include the creation of a single window for port procedures, the strengthening of relations between actors related to trade and port operation, and the establishment of the port authority as the highest body for management and integration with the cities and the areas of influence.

THE COST OF INTERNATIONAL TRANSPORT, AND INTEGRATION AND COMPETITIVENESS IN LATIN AMERICA AND THE CARIBBEAN

Improvements in international transport services are one of the main features of economic globalization. Together with progress in telematics, standardization and trade liberalization, faster, more reliable and cheaper transport services are contributing to the integration of production processes at the global level. This article seeks to examine the causal links between trade and the cost of international transport services. The impact of the cost of transport on foreign trade and economic development International freight has an impact on trade equivalent to customs tariffs or the exchange rate: a reduction in the cost of transport directly stimulates exports and imports, just as an increase in the exchange rate (the rate at which the national currency may be exchanged against another) makes exports more competitive, and a reduction in national customs tariffs lowers the cost of imports. Spurred by trade liberalization, customs tariffs have dropped to levels where in many cases any additional reduction would now no longer have a significant impact. It is perhaps for that reason that new and interesting studies have been produced in recent years analysing the impact of transport costs on trade patterns and globalized production. The impact on trade: the price of the vast majority of traded goods is exogenous for developing countries. If the shipping of imports becomes more expensive, higher inflation ensues as a result of